Second-party data is first-party data that’s been shared with another company. ownerIQ runs a data-sharing platform for about 550 brands and retailers.
It’s a common misconception among marketers and advertisers that first-party data is the best, second party gotten from specific partners is next, and third party, or aggregate data whose source you don’t have a direct relationship with, is the weakest kind.
First-party data isn’t always ideal for finding new customers. Second-party data is not without its pitfalls as well—users of the data essentially inherit any and all of their partner’s data quality issues — though the same could be said of third party data as well.
Many CMOs have first- and third-party data strategies, but haven’t given much thought as to how their data would be useful to another brand or retailer they work closely.
“We’ve been doing second-party data for quite some time, but it’s becoming a thing now because brands can do it at scale,” says ownerIQ CEO Jay Habegger. “DMPs are struggling to do it at scale, but just now the platforms are emerging that can make this possible.”
December saw ownerIQ earn 60% more bookings than the same month the year previous.
“Second-party data is becoming a viable part of the marketing mix,” he says.